As XRP proponents await SEC’s response in its case against Ripple, the price of XRP continues to see a slight dip today.
XRP continues to witness a mild pullback as market participants eagerly await the SEC’s upcoming response to Ripple’s motion to dismiss. The court expects the Commission to file its reply brief on the summary judgment motion by May 6, arguing why Ripple should be held liable.
To recall, the SEC filed its opening brief in March after the agency sought to impose penalties and an injunction on Ripple, alleging that the company violated the U.S. Securities Act following a lawsuit in December 2020.
Following the SEC’s opening brief on the summary judgment, Ripple filed a motion to dismiss to counter the SEC’s allegations. In the motion, the fintech firm asked the court to strike the SEC’s filings due to irregularities and delays in submitting the briefs.
Ripple also noted that it conducted its XRP sales after the lawsuit to accredited investors via ODL agreements. Hence, it did not constitute a violation.
Meanwhile, crypto investors, especially members of the Ripple community, look forward to the SEC’s upcoming response on May 6. This could potentially expedite the resolution of the lawsuit which has been ongoing for nearly four years now.
notably, analysts opined that a favorable outcome for Ripple in this case could potentially see an XRP ETF launch this year.
A ban on Ripple from selling XRP to institutional investors would significantly impact Ripple’s plans for the U.S. market. It will also likely affect investor sentiment and add to the selling pressure on the altcoin.
At the time of writing, XRP is trading at $0.5297, reflecting a modest 1.25% loss over the past 24 hours.
